CBDT invites Comments on Guidance Note for GAAR Implementation

CBDT/ GoI Invites Comments and Inputs of the Stakeholders for Issuance of Guidance Note on Implementation of Provisions of General Anti Avoidance Rule (GAAR)

The provisions of General Anti Avoidance Rule (GAAR) are contained in Chapter X-A of the Income-tax Act, 1961 (the Act). The GAAR provisions shall be effective from assessment year 2018-19 onwards, i.e.financial Year 2017-18. The necessary procedures for application of GAAR and conditions under which it shall not apply, have been enumerated in Rules 10U to 10UC of the Income-tax Rules, 1962. 

Several stakeholders and industry associations have represented that guidelines for implementation of GAAR be issued so that there is adequate clarity in this regard. 

The general public and stakeholders are therefore requested by the GoI to provide their inputs on the provisions of GAAR in respect of which further clarity is required, from its implementation perspective. For the exercise to be meaningful, it is essential that reference to hypothetical situation be avoided. If the input relates to interpretation of a specific real world structure or arrangement, the structure should be such as that, which commonly occurs in the sector and involves clarification of general principles of application. Further, in relation to such structure, the particular provision and apprehensions or doubts along with basis thereof may also be provided with all the relevant facts. 2560185

The inputs may be provided on or before 30.06.2015 electronically on e-mail ID [email protected] and/or by post at the following address:

“Comments for Guidance Note on GAAR”, The Director (Tax Policy & Legislation)-I, Room No. 147-D, Central Board of Direct Taxes, North Block, New Delhi – 110001.

GoI Press Release dt 27 May 2016

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